Status: Will be live at 02/05/2020 16:12
IIF response to IAIS Issues Paper on the Implementation of TCFD
On February 4, the IIF responded to the IAIS Issues Paper on the Implementation of TCFD Recommendations. In the letter, the IIF and its members express their strong support for strengthening industry and supervisor understanding and assessment of climate risks by assessing how physical, transition and liability risks stemming from climate change may affect the business resilience, the offering of products and services, and the profitability and solvency of the financial sector, including the insurance sector.
The letter also suggested that:
- Supervisors should recognize that insurers’ implementation of the TCFD recommendations is an iterative process.
- Supervisors should adopt a proportionate approach that recognizes that some firms may need a longer trajectory towards TCFD implementation as a result of their size, geographic reach, complexity or business model.
- Supervisors should consider the materiality of climate-related risks for a particular insurer in developing expectations for disclosure, consistent with ICP 20.